Optimal crop choice and fertilizer applications depend on the stochastic dynamics of commodity prices, fertilizer prices, and the agronomic effects of rotation versus monoculture. The efficient decision rule accounts for real option values associated with maintaining land disposition in an...

We conduct models and tests to ascertain whether there are speculative bubbles and which factors contribute to the bubbles if there exits one. In the model, we use the option value to represent the investment value of farm real estate and compare the option value, calculated from dynamic...

This paper develops dynamic structural models - an option value model and a dynamic programming model - of the Social Security Disability Insurance (SSDI) application timing decision. We estimate the time to application from the point at which a health condition first begins to affect the kind...